Worldsfeed Tech Desk: Bitcoin has surged to a historic high, surpassing $72,000 for the first time, extending its winning streak for the sixth consecutive day. The cryptocurrency has seen a nearly 70% increase in value this year, driven by significant inflows into US exchange-traded funds (ETFs).
Richard Galvin, the founder of the Australia-based crypto-focused investment firm DACM, noted that the rally followed a weak Asian trading session, where short positions tested the resolve of long-term investors. The response from long-term investors has been notably positive.
Investors have injected close to $10 billion into newly launched Bitcoin ETFs in the US over the past two months, sparking a widespread surge in crypto markets. On another positive note, the London Stock Exchange confirmed its acceptance of applications for Bitcoin and Ether exchange-traded notes, while Thailand’s securities regulator allowed retail investors to purchase overseas crypto ETFs.
The success of the Bitcoin ETFs is part of a series of optimistic signals for crypto assets. A highly anticipated event is the upcoming quadrennial “halving” scheduled for April, which will halve Bitcoin’s supply growth.
Various technical indicators suggest a growing interest from both institutional and retail investors. Open interest in Chicago-based CME Group’s Bitcoin futures market has surged by 44% from this year’s low. Additionally, the rebound in the funding rate indicates an increasing willingness among traders to pay a premium for opening leveraged long positions in Bitcoin.
MicroStrategy Inc., a software firm that has integrated Bitcoin into its corporate strategy, disclosed a $822 million expenditure on purchasing more tokens between February 26 and March 10.
___________________________________________________________________________________
0 Comments